Natural Vs Lab Created Diamonds—What’s the Hype? Price, differences, value

For the past few years, lab diamonds have been gaining quite a bit of attention-both good and bad. Which to choose? If lab diamonds can be created almost flawless, why not? You can ideally get a stunning 2ct for less than $7,500.00.  The question that arises is: while it looks the same as the real one, does it stand the test of time?

Lab Diamonds vs Natural Diamonds

Lab diamonds are made-man made in a lab, instead of naturally created in the earth. Lab diamonds look and feel just like real ones. They are available in all the same shapes and sizes as natural diamonds. If you had a lab diamond and a natural one in front you, it is impossible for the unaided eye to tell the difference. They almost have the same identical chemical structures!

Natural diamonds are created by mother earth as a result of intense heat and pressure formed over the course of billions of years. Lab grown diamonds can be created within weeks! There is one slight chemical variance between the two: natural diamonds contain small traces of nitrogen while synthetic diamonds do not.

Only a trained gemologist can tell the difference, using extreme magnification to see the small inclusions in lab grown vs. mined diamonds and other specialized equipment to run tests to verify the difference. 

As a consumer, you can also check the diamond’s certification. Jewelers must declare whether a diamond is natural or synthetic. As long as you shop somewhere with a positive reputation you will always have this information available to you. The difference between natural or synthetic will have a significant impact on pricing and resale value.

Aesthetically, there isn’t a difference between lab and natural...So which one should you buy? That all depends what means more to you. If appearance is all that matters, then it truly doesn't matter if it’s man-made or natural.

There are some other differences, which will make you think twice when making your decision.

Price

The cost of lab diamonds is constantly fluctuating. 3-4 years ago lab diamonds were on average 23-25% more expensive than natural. Today, lab diamonds are coming in cheaper than natural, from 30-50% difference in price in some cases!

The largest difference is due to supply. Natural diamond supply is limited and it takes billions of years to create. With synthetic diamonds, there is no cap on supply, which drives the price lower as more and more are made. 

Value

Natural diamonds will always be higher in price compared to lab diamonds.

What about the resale value? Natural diamonds retain about 50% of their initial cost. Lab created diamonds have a more subjective resale value. 

If you want your diamond to retain its value, opt for natural. Couples who are on a tight budget can go with synthetic for price but not lose out of a beautiful ring that would otherwise be out of their price range.

Sustainability

Some people may have concerns over environmentally or humanely conscious decisions in regards to natural diamond mining.

That doesn't mean that all are unethical, but it stands to reason man-made diamonds may offer more long term sustainability than those mined from the earth.

There have been instances where FTC warned a number of jewelers making false claims of their jewelry being sustainable or eco-friendly. 

A report from Diamond Producers Association claims that natural diamonds are better for the environment. Why? Due to all the carbon used in producing a lab diamond.

Shine

In almost every situation, lab diamonds will have the same amount of brilliance and shine as a natural.

Lab diamonds Summary

Pros

• Almost identical to real or natural diamonds

• Significantly cost less

• Some clients consider it a more environmentally conscious choice

• Just as strong as real diamond (both a 10 on Mohs scale of hardness)

• Sparkles the same, main difference is the creation process

• Graded on the same scale of 4C’s (GIA does certify lab diamonds but since they just started, there haven't been many)

Cons

• Resale value is significantly lower

It's all truly preference. What is most important to you? 

Contact Therese if you have more questions or if you need help verifying your diamond. 

Clarity:

• Diamonds have internal features, called inclusions, and external markings called blemishes. Together they make up clarity characteristics. Clarity is the relative absence of inclusions and blemishes.

Blemishes

• include scratches on a diamond’s surface.

Inclusions

• on the inside of the diamond

• Normally have more impact on a diamond’s beauty and value more than blemishes.

• Directly related to a concept of rarity based on GIAs grading system. Most gems that make up the bulk of retail markets fall between the two extremes:

Flawless

• Being top grade: Doesn’t have visible inclusions or blemishes when examined under 10x magnification by a skilled grader.

• Very rare = top pricing

Lower end of the scale:

• Diamonds with inclusions that can easily be seen by the naked eye.

Color:

• Colorless diamonds are quite rare.

• Most diamonds used in jewelry are nearly colorless with yellow or brown tints.

• Diamonds come in many colors other than yellow or brown.

  • Some of the most rare colors are red, purple, and green.

• Colored diamonds

  • With natural color means higher value.

  • Size: The bigger the diamond, the more vibrant and obvious the color.

Cut:

Can seriously show off some light in breathtaking ways.

• 3 important diamond characteristics

  • Brilliance: Brightness created by combination of all the white light reflections from the surface and the inside of a polished diamond.

  • Fire: flashes of color in a polished diamond.

  • Scintillation: flashes of light you see when the diamond, light, or person moves.

3 major parts of a polished diamond from top to bottom

• Crown: top part of gem above the girdle

• Girdle: narrow section of finished gem that forms the line or boundary between the crown and pavilion and functions as the gem’s setting edge.

• Pavilion: lower part of a faceted (flat polished surface on a finished gem) gem below the gem.

Cuts in shapes other than round are called fancy cuts. The most familiar are the marquise, princess, pear, oval, heart, and emerald. (Check my other blog post about how to buy an engagement ring for more info on these cuts!)

Some important cuts to know:

Brilliant

• cutting style with triangular or kite shaped facets

• Shows more fire than step cuts.

Standard round brilliant

• Cut gem with 57 and 58 facets. 

• Often called a full cut

Fancy cut

• Round stone with 17 to 18 facets

Facet cut

• Any gemstone shape other than round.

Step cut

• Cutting style that features long, narrow facets in rows parallel to the girdle on both the crown and pavilion

• Shows off color better

Baguette

• Small four sided step cut that is rectangular, square, or tapered.

Mixed cut

• Combines brilliant and step cut styles.

Branded cut

• Style that is created, named and promoted by a specific manufacturer.

Last but not least we have carats...and I am not talking about Bugs Bunny’s!

Carat (Weight):

• Metric carat is divided into 100 points. (A point is one hundredth of a carat.

• Think of carats as dollars and points as the pennies

• Second aspect of carat weight is the relationship between rarity, weight, and value.

  • Large diamonds are more rare than small ones.

  • The more scarce something is the more its worth.

  • Larger gems don't just cost more-they cost more per carat.

• Just don’t confuse the term carat with Karat. (Karat is the unit of measure that describes the purity of gold.)

Lastly, Therese can help you with all your cut, clarity, color, carat needs for the right COST! Give her a CALL :).

Check out trudygems.com for certain cuts or completely customize your own!